Question for the Money Doctors

Question submitted on Apr 30, 2014.

Question

My situation is rather perverse and dire. I am now a 7th year senior, who has been tackling great adversity and regrets. My family isn't into my finances, save for my dad's unemployment, and my cell phone. I have been tackling both medical issues, and am facing the burden of maxing out student loans without graduating, I need some serious help here ...My family dynamics are stark, and as the 'black sheep' of my family, I can't go to them for help, and was ill-prepared to handle the world when I got out, so now I am stuck on my own. I need some assistance here. Is there any emergency relief programs or something that can help a special case such as mine? I need help.

Answer

While the tone of your question does seem rather "dire", I still don't know any details about your problems, such as:

How close are you to graduation?

What area of study did you undertake?

What are your job prospects?

What are the balances owed on the student loan debt that you mention?

What is the nature of your medical problems?

It sounds as though you are reacting very emotionally to the reality of having made some bad decisions and incurring debt, without a firm plan to repay it.

You need to calm down and work through the problems a little at a time. These debts didn't appear over night and they may take some time to repay, so don't panick.

Develop a plan to stop the bleeding first. Are you living within your means currently? If not, get on a budget.

Develop a plan to pay off your debt over whatever period of time it takes. Make a list of all of your debts that includes the interest rate and the minimum monthly payment. Then talk to your creditors and tell them about your plan, don't ignore them.

If the creditors are harrassing you, know your rights. Consider talking to an attorney that speciallizes in bankruptcy and learn what debts you can and can't discharge in bankruptcy.

It sounds as though you are learning some really tough life lessons at a very early age. Even without the benefit of responsible parenting, you must learn to be held accountable for your own decisions.